FBM30 1646.11
+0.53points (+0.03%) Volume
1,376mil Value 1,721mil
1) KLCI pared its gains at auction as investors took
profit ahead of long weekend led by CIMB, DIGI and YTL. Index climbed to a high
of 1650.85 (+5.27pts) in the afternoon session after Ram Ratings revised
upwards Malaysia's GDP growth forecast from 4.6% to 4.9%. Regionals were
generally weaker on concerns improving US data could delay any stimulus by the
Federal Reserve. Market breadth remained negative with decliners outnumbering
gainers 453:280. Futures closed 1647.5pts (1.5points premium).
2) Heavyweights: GENM+7% RM3.53, TM+1.5% RM6.08,
MAXIS+0.7% RM7.04, IOICORP+0.4% RM5.14, CIMB-0.5% RM7.79, DIGI-0.62% RM4.81,
YTL-1.63% RM1.81, PETDAG-1.84% RM22.40
3) DBT: BJLAND 51mil @ RM0.67 (16.25% discount), DBE
11mil @ RM0.075, SUNWAY 5mil @ RM2.23
4) Situationals:
GENM+7% RM3.53: GENM Q2 net profit rose 58% to RM
495.8mil from RM313.8mil a year ago. Better set of numbers were on the back of
higher revenue (+5%) from its gaming and hospitality business in Malaysia, as
well as in the UK. UK Casino did well to recover from last quarter, reporting
adjusted earnings which doubled m-o-m.
MRCB+2.42% RM1.69: Share price pick up in the afternoon
on apparent discussions once again by the Government to takeover the Eastern
Dispersal Link (EDL) Highway.
5) NESTLE
1H JUNE 2012 Tover +9.5% RM2.31bn Net +13.5% RM278.6m EPS 118.8sen DPS 55sen
13.7% above
cons (f) RM490m
Higher turnover attributable to sales performance was
driven by domestic and export businesses. The good domestic sales can be
attributed to the active marketing and promotional activities in the first half
of the year. New launches during the year include Nescafé 3 in 1 Brown and
Creamy and new MILO Mixes variants such as MILO Less Sweet, MILO Hi-Fibre and
MILO Cereal which performed well. From
an input cost perspective, the prices of major raw materials consumed by the
Group remained high, but somewhat stabilised in the recent months. This has
resulted in a fairly flat gross profit margin of 15.16% vs 15.10% YOY.
The company expects the second half of the year to be
more challenging as many uncertainties are affecting global economic growth and
driving volatility in commodity costs.
In 2012, the Group will remain focused on growing both
top and bottom line while celebrating its 100 years anniversary with many
activities and events dedicated to our consumers and stakeholders.
Sell into strength despite its defensive qualities as
stock has already outperformed the KLCI this year, ie +14% vs 7.5% with stretch
valuations of 27x PE and projected yield of 3.4% vs KLCI average of 15.3x PE
and average yield of 3.5x.
6) Market - The KLSE will be closed tomorrow 31 AUG for
Merdeka Celebrations. MERDEKA, MERDEKA, MERDEKA